please help..Lloyds tsb

nelie_m

My partner has been trying to settle his loan for a while now. He wants to set up a payment plan as our circumstances have changed and we are on minimum money.
He was going through the process of writing out a financial statement with his university so that he could see what could be afforded and what couldn't, so that he could send it to lloyds to back up his payment plan.
He has 2 accounts with Lloyds - one current and one savings. His current account is up to his overdraft limit so he has no money going into it. All of his money (uni bursary) goes into his savings account to be transferred into his current account when funds are needed for direct debits to other debts.

After many phone calls (they ring up every other day) and him explaining to everyone that they need to wait for this financial statement thing. he hasnt been able to get to uni for 2 weeks because of the snow and that coupled with the xmas hols means nothing has been able to be sorted since dec. Before speaking to his uni and asking for help and them provisionally talking to Lloyds they just hung up on him when he rang to sort it out.

He received another phonecall yesterday basically saying that it was going to a debt collection agency if he didnt pay the full balance there and then. They had no record of the phonecall that happened less than a week before when he explained yet again that he needs to sort out his statement thing and due to the awful weather hasnt been able to get into uni.

As we dont have the full balance available (it runs into the thousands) we couldnt pay, he explained yet again about them waiting for this financial statement but they ignored him. The phonecall ended with Lloyds saying its going to a debt collection agency on monday.

My partner then checks his savings account (where we only have money held to pay off his other debts) to find that £199 has been debited from his account by Lloyds. Nobody told him anything about debiting this huge amount of money, and if its going to a DCA then why have they debited this money? My partner rang them up this morning to ask why and apparently they can do it under section 4 of their agreement which states they can take any monies from any of their accounts if you have refused payment. Now my partner hasnt refused payment he kept offering to pay them the minimum we can afford which is £10 p/m but they wouldnt accept it. They are now refusing to talk to him and hang up whenever he calls as they have now sold it to the DCA.

As we are on minimum money (we are surviving on his bursary of £500p/m and my mat pay of £73 p/w) and I am literally about to give birth anyday now to our third child, this is a huge amount of money to be out by and also means we cant pay off our other debtors, and we are seriously short of cash for what will now be months.

Im getting frantic and really need advice. What do we do? Can we claim that money back? Have Lloyds acted wrongly?

Thanks in advance

CLAPTON

he needs to set up a bank account with some-one he has no debts to and make sure all his income goes into there

he needs to move his savings to some-one he owes nothing to

today / tomorrow would be a good time to do this


they can and probably will raid his savings a/c for the full some owed.

[Deleted User]

you say you are surviving on £500 a month bursary and your £73 week mat.pay,yet you already have 2 children so why dont you get family allowance and child tax credits?
I cant also understand why he cant put together his own SOA without anyone else getting involved?after all its his affairs...

In_a_Mess_3

Hi - are you getting the full amount of benefits you are due? as woodbine has already pointed out you have 2 other children, can you not get child benefit for them? for 2 children it is £132 a month currently, and what about housing benefits, child tax credits.

https://www.makesenseofcards.com is a good site, click on calculators and do your soa on there, it lets you put it onto here as well if you want someone to check it for you and to help you out.

https://www.entitledto.co.uk - will tell you if you can get any benefits as well.

As for Lloyds, they have applied the right to offset rule, a common practice I am afraid.

Give them a call and tell them you are seeking financial advice through the cab, they should then give you 28 days grace under a little known common agreement which has been set up.

If it does to to a dca, then tell them that also, and request 28 days grace, most will allow that, and also ask them to send you out and income and expenditure form, they will give you time to complete it and get it back to them before they start chasing again.

Above all, please try not to get too stressed, pregnancy and stress do not mix I know that only too well.